Saxo UK Achieves £2 Billion AUM Milestone with 7% Profit Growth

Saxo Capital Markets UK Ltd, the British arm of Saxo Bank, has reported a strong performance for 2023, AUM surged by 15% to hit the £2 billion milestone. The company also posted a notable 7% increase in net profit, bringing it to £11.2 million, compared to £10.5 million in the previous year.

The company’s 2023 report, filed with Companies House, highlights significant growth despite ongoing economic and market challenges. The number of clients rose by 4,000, bringing the total to 127,000, while profit before tax climbed by 13% to nearly £15 million. The AUM jump from £1.6 billion in 2022 to £2 billion underscores the company’s continued expansion in the UK market.

However, Saxo UK’s trading revenue remained relatively steady at £27.9 million, only slightly up from the £27.6 million recorded in 2022. A key contributor to the improved bottom line was the absence of additional costs that had impacted the previous year’s results. The company credited its focus on client engagement and service improvements for continued profitability.

Saxo UK Achieves £2 Billion AUM Milestone with 7% Profit Growth

“We are driving client retention, activating our new and existing clients with timely, relevant, and engaging content, and improving our service levels to meet our high expectations,” Saxo UK stated in its report.

While the results paint an optimistic picture, Saxo UK did acknowledge several challenges. These included “ongoing geopolitical volatility, the cost of living squeeze in the UK, and continued challenges in the UK equity markets,” creating a complex trading environment. However, the firm’s strategic focus on enhancing customer service and client engagement has helped mitigate these pressures.

The strong performance of Saxo UK contrasts with the broader Saxo Group, which saw a decline in its overall net profit. The group reported a net profit of DKK 260 million in 2023, down from DKK 711 million the year prior. However, the adjusted net profit of DKK 653 million reflected a more moderate decline of 8.1%.

The year also saw a leadership shake-up for Saxo Bank, as Charles White-Thomson, the CEO of Saxo Capital Markets UK Ltd, announced his resignation. White-Thomson, who played a key role in steering the company through a period of growth and market challenges, also stepped down from his role on the board of directors.

Despite these challenges, Saxo UK’s ability to deliver consistent growth in clients and AUM while navigating economic headwinds positions the firm for continued success in the years to come.

Key Figures:

• Assets Under Management (AUM): £2 billion (up 15% from £1.6 billion)
• Net Profit (After Tax): £11.2 million (up 7% from £10.5 million)
• Trading Revenue: £27.9 million (up slightly from £27.6 million)
• Number of Clients: 127,000 (up by 4,000)

Company Overview

Saxo Bank stands out as a premier multi-asset broker, offering exceptional research capabilities and an exceptional trading platform, along with an impressive array of over 70,000 tradable instruments, which include spot forex, FX options, NDFs, CFDs, stocks, stock options, exchange-traded funds, ETNs, futures, and 33,000 bonds. For engaged traders, Saxo Bank offers a comprehensive and immersive trading journey, boasting an extensive toolkit, research resources, and premium features.

Discover more in our Complete Review.